Nearly 100,000 workers participated in strikes at Volkswagen plants across Germany on Monday, driven by opposition to management’s plans to reduce wages and potentially shut down facilities at Europe’s largest automaker, according to the IG Metall union.
The walkouts signal the start of potential ongoing industrial action.
The union reported that about 98,650 employees at nine Volkswagen plants took part in the two-hour morning strikes and early evening walkouts. The strikes were prompted by Volkswagen’s announcement that it may close plants in Germany for the first time in its 87-year history as part of a cost-cutting strategy to increase profitability. The automotive industry in Europe is grappling with factors such as weak consumer demand, high production expenses, fierce competition from Chinese automakers, and a slower-than-anticipated transition to electric vehicles.
“This was the first, powerful impact of a winter of protest, Volkswagen should come to its senses and finally shelve its nightmare plans, otherwise our colleagues will find the right answer,” said IG Metall’s chief negotiator Thorsten Groeger.
Last week, the union suggested cost-saving measures, including foregoing bonuses for 2025 and 2026, which they claimed would save 1.5 billion euros ($1.58 billion). However, Volkswagen’s management dismissed these proposals as unrealistic, asserting that they only postponed an unavoidable outcome.